Advocate Aurora Health to merge with Atrium
Another big health system merger is coming down the pike––this time between Advocate Aurora Health and Atrium Health.
The merger will create a health and wellness delivery system to meet patient needs by redefining how, when and where care is delivered, according to a press release. The merger brings together Advocate Aurora Health, one of the 12 largest not-for-profit, integrated health systems in the U.S. and a major employer in the Midwest, with 75,000 team members, with Atrium Health, an integrated, nonprofit health system with more than 70,000 teammates, 40 hospitals and 500 care sites.
The new health system will have a combined footprint across Illinois, Wisconsin, North Carolina, South Carolina, Georgia and Alabama, serving 5.5 million patients across more than 1,000 sites of care and 67 hospitals. The combined value of the new health systems is $27 billion. The new organization will operate under Advocate Health, with the Advocate Health and Atrium Health brands continuing to be used in their respective local markets.
“The world of healthcare as we know it is changing at warp speed–and it is rapidly becoming more digital, personalized, scientific and complex,” Eugene A. Woods, president and CEO of Atrium Health, said in a statement. “This strategic combination will enable us to deepen our commitments to health equity, create more jobs and opportunities for our teammates and communities, launch new, game-changing innovations and so much more. Together, we will manifest a new future that significantly elevates the care we provide to every hand we hold and every life we touch.”
The boards of both organizations have unanimously approved the agreement, which is subject to regulatory review. The new company will be governed by a board of directors composed of an equal number of members from Advocate Aurora and Atrium Health. Edward J. Brown III, chair of Atrium Health’s board of directors, will chair the new board of directors until December 31, 2023, when he will be succeeded by Michele Richardson, chair of Advocate Aurora Health’s board of directors.
Woods and Jim Skogsbergh, president and CEO of Advocate Aurora Health, will be co-CEOs of the new organization for the first 18 months, after which Skogsbergh will retire and Woods will become the sole CEO.
Amy joined TriMed Media as a Senior Writer for HealthExec after covering home care for three years. When not writing about all things healthcare, she fulfills her lifelong dream of becoming a pirate by sailing in regattas and enjoying rum. Fun fact: she sailed 333 miles across Lake Michigan in the Chicago Yacht Club "Race to Mackinac."